What This Bill Does
This bill changes the name and structure of the Bureau of Consumer Financial Protection to the Consumer Financial Protection Commission. Instead of having one Director, the Commission will be led by five members appointed by the President and approved by the Senate.
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Who It Affects
The Consumer Financial Protection Commission (the renamed agency) and the President (who appoints the Commission members).
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Key Provisions
- The agency formerly called the Bureau of Consumer Financial Protection is now called the Consumer Financial Protection Commission, led by five members instead of one Director. (Sec. 2(c)(1))
- Commission members serve five-year terms. The President appoints all five members with Senate approval, with initial terms staggered at one, two, three, four, and five years. (Sec. 2(c)(2) and (3)(A))
- The President can remove a Commission member for inefficiency, neglect of duty, or doing something wrong in office. (Sec. 2(c)(3)(B))
- No more than three Commission members can belong to the same political party. (Sec. 2(d))
- A Chair (leader) runs the Commission's daily operations, appoints and supervises staff, and manages how money is spent, but must follow the Commission's general policies. (Sec. 2(e)(3))
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What Changes
If this bill becomes law, all references to the "Bureau of Consumer Financial Protection" or its "Director" in federal laws and documents become references to the "Consumer Financial Protection Commission." The agency moves from having a single Director to having a five-member Commission structure. The current Director becomes the temporary Chair until all five members are appointed and confirmed.
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Important Definitions
The bill refers to "Chair," "Commission," and other restructured terms but does not define these terms beyond renaming the existing agency.
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I
118TH CONGRESS
1ST SESSION H. R. 1410
To amend the Consumer Financial Protection Act of 2010 to make the
Bureau of Consumer Financial Protection an independent Consumer
Financial Protection Commission, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 7, 2023
Mr. LUETKEMEYER introduced the following bill; which was referred to the
Committee on Financial Services
A BILL
To amend the Consumer Financial Protection Act of 2010
to make the Bureau of Consumer Financial Protection
an independent Consumer Financial Protection Commis-
sion, and for other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Consumer Financial
4
Protection Commission Act’’.
5
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•HR 1410 IH
SEC. 2. MAKING THE BUREAU AN INDEPENDENT CON-
1
SUMER FINANCIAL PROTECTION COMMIS-
2
SION.
3
The Consumer Financial Protection Act of 2010 (12
4
U.S.C. 5481 et seq.) is amended—
5
(1) in section 1011—
6
(A) in the heading of such section, by
7
striking ‘‘BUREAU
OF
CONSUMER
FINAN-
8
CIAL
PROTECTION’’ and inserting ‘‘CON-
9
SUMER FINANCIAL PROTECTION COMMIS-
10
SION’’;
11
(B) in subsection (a)—
12
(i) in the heading of such subsection,
13
by striking ‘‘BUREAU’’ and inserting
14
‘‘COMMISSION’’;
15
(ii) by striking ‘‘in the Federal Re-
16
serve System,’’;
17
(iii) by striking ‘‘independent bureau’’
18
and inserting ‘‘independent commission’’;
19
(iv) by striking ‘‘Bureau of Consumer
20
Financial Protection’’ and inserting ‘‘Con-
21
sumer Financial Protection Commission
22
(hereinafter in this section referred to as
23
the ‘Commission’)’’; and
24
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•HR 1410 IH
(v) by striking ‘‘Bureau’’ each place
1
such term appears and inserting ‘‘Commis-
2
sion’’;
3
(C) by striking subsections (b), (c), and
4
(d);
5
(D) by redesignating subsection (e) as sub-
6
section (j);
7
(E) in subsection (j), as so redesignated—
8
(i) by striking ‘‘, including in cities in
9
which the Federal reserve banks, or
10
branches of such banks, are located,’’; and
11
(ii) by striking ‘‘Bureau’’ each place
12
such term appears and inserting ‘‘Commis-
13
sion’’; and
14
(F) by inserting after subsection (a) the
15
following new subsections:
16
‘‘(b) AUTHORITY TO PRESCRIBE REGULATIONS.—
17
The Commission may prescribe such regulations and issue
18
such orders in accordance with this title as the Commis-
19
sion may determine to be necessary for carrying out this
20
title and all other laws within the Commission’s jurisdic-
21
tion and shall exercise any authorities granted under this
22
title and all other laws within the Commission’s jurisdic-
23
tion.
24
‘‘(c) COMPOSITION OF THE COMMISSION.—
25
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•HR 1410 IH
‘‘(1) IN GENERAL.—The Commission shall be
1
composed of 5 members who shall be appointed by
2
the President, by and with the advice and consent
3
of the Senate.
4
‘‘(2) STAGGERING.—The members of the Com-
5
mission shall serve staggered terms, which initially
6
shall be established by the President for terms of 1,
7
2, 3, 4, and 5 years, respectively.
8
‘‘(3) TERMS.—
9
‘‘(A) IN GENERAL.—Each member of the
10
Commission, including the Chair, shall serve for
11
a term of 5 years.
12
‘‘(B) REMOVAL.—The President may re-
13
move any member of the Commission for ineffi-
14
ciency, neglect of duty, or malfeasance in office.
15
‘‘(C) VACANCIES.—Any member of the
16
Commission appointed to fill a vacancy occur-
17
ring before the expiration of the term to which
18
that member’s predecessor was appointed (in-
19
cluding the Chair) shall be appointed only for
20
the remainder of the term.
21
‘‘(D) CONTINUATION OF SERVICE.—Each
22
member of the Commission may continue to
23
serve after the expiration of the term of office
24
to which that member was appointed until a
25
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•HR 1410 IH
successor has been appointed by the President
1
and confirmed by the Senate, except that a
2
member may not continue to serve more than 1
3
year after the date on which that member’s
4
term would otherwise expire.
5
‘‘(E) OTHER EMPLOYMENT PROHIBITED.—
6
No member of the Commission shall engage in
7
any other business, vocation, or employment.
8
‘‘(d) AFFILIATION.—Not more than 3 members of
9
the Commission shall be members of any one political
10
party.
11
‘‘(e) CHAIR OF THE COMMISSION.—
12
‘‘(1) INITIAL
CHAIR.—The first member and
13
Chair of the Commission shall be the individual serv-
14
ing as Director of the Bureau of Consumer Finan-
15
cial Protection on the day before the date of the en-
16
actment of this subsection. Such individual shall
17
serve until the President has appointed all 5 mem-
18
bers of the Commission in accordance with sub-
19
section (c).
20
‘‘(2) SUBSEQUENT CHAIR.—Of the 5 members
21
appointed in accordance with subsection (c), the
22
President shall appoint 1 member to serve as the
23
subsequent Chair of the Commission.
24
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•HR 1410 IH
‘‘(3) AUTHORITY.—The Chair shall be the prin-
1
cipal executive officer of the Commission, and shall
2
exercise all of the executive and administrative func-
3
tions of the Commission, including with respect to—
4
‘‘(A) the appointment and supervision of
5
personnel employed under the Commission
6
(other than personnel employed regularly and
7
full time in the immediate offices of members of
8
the Commission other than the Chair);
9
‘‘(B) the distribution of business among
10
personnel appointed and supervised by the
11
Chair and among administrative units of the
12
Commission; and
13
‘‘(C) the use and expenditure of funds.
14
‘‘(4) LIMITATION.—In carrying out any of the
15
Chair’s functions under the provisions of this sub-
16
section the Chair shall be governed by general poli-
17
cies of the Commission and by such regulatory deci-
18
sions, findings, and determinations as the Commis-
19
sion may by law be authorized to make.
20
‘‘(5) REQUESTS
OR
ESTIMATES
RELATED
TO
21
APPROPRIATIONS.—Requests or estimates for reg-
22
ular, supplemental, or deficiency appropriations on
23
behalf of the Commission may not be submitted by
24
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•HR 1410 IH
the Chair without the prior approval of the Commis-
1
sion.
2
‘‘(f) INITIAL QUORUM ESTABLISHED.—The first
3
member and Chair of the Commission described under
4
subsection (e)(1) shall constitute a quorum for the trans-
5
action of business until the President has appointed all
6
5 members of the Commission in accordance with sub-
7
section (c). Following such appointment of 5 members, the
8
quorum requirements of subsection (g) shall apply.
9
‘‘(g) NO IMPAIRMENT BY REASON OF VACANCIES.—
10
No vacancy in the members of the Commission after the
11
establishment of an initial quorum under subsection (f)
12
shall impair the right of the remaining members of the
13
Commission to exercise all the powers of the Commission.
14
Three members of the Commission shall constitute a
15
quorum for the transaction of business, except that if
16
there are only 3 members serving on the Commission be-
17
cause of vacancies in the Commission, 2 members of the
18
Commission shall constitute a quorum for the transaction
19
of business. If there are only 2 members serving on the
20
Commission because of vacancies in the Commission, 2
21
members shall constitute a quorum for the 6-month period
22
beginning on the date of the vacancy which caused the
23
number of Commission members to decline to 2.
24
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•HR 1410 IH
‘‘(h) SEAL.—The Commission shall have an official
1
seal.
2
‘‘(i) COMPENSATION.—
3
‘‘(1) CHAIR.—The Chair shall receive com-
4
pensation at the rate prescribed for level I of the
5
Executive Schedule under section 5313 of title 5,
6
United States Code.
7
‘‘(2) OTHER MEMBERS OF THE COMMISSION.—
8
The 4 other members of the Commission shall each
9
receive compensation at the rate prescribed for level
10
II of the Executive Schedule under section 5314 of
11
title 5, United States Code.’’;
12
(2) in section 1012(c), by striking paragraphs
13
(2), (3), (4), and (5); and
14
(3) in section 1014(b), by striking ‘‘Not fewer
15
than 6 members shall be appointed upon the rec-
16
ommendation of the regional Federal Reserve Bank
17
Presidents, on a rotating basis.’’.
18
SEC. 3. DEEMING OF NAME.
19
Any reference in a law, regulation, document, paper,
20
or other record of the United States to the Bureau of Con-
21
sumer Financial Protection, except in subsection (e)(1) of
22
section 1011 of the Consumer Financial Protection Act
23
of 2010 (12 U.S.C. 5491), as added by this Act, shall be
24
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•HR 1410 IH
deemed a reference to the Consumer Financial Protection
1
Commission.
2
SEC. 4. CONFORMING AMENDMENTS.
3
(a) CONSUMER FINANCIAL PROTECTION ACT
OF
4
2010.—
5
(1) IN GENERAL.—Except as provided under
6
paragraph (2), the Consumer Financial Protection
7
of 2010 (12 U.S.C. 5481 et seq.) is amended—
8
(A) by striking ‘‘Director of the Bureau’’
9
each place such term appears, other than where
10
such term is used to refer to a Director other
11
than the Director of the Bureau of Consumer
12
Financial Protection, and inserting ‘‘Consumer
13
Financial Protection Commission’’;
14
(B) by striking ‘‘Director’’ each place such
15
term appears and inserting ‘‘Consumer Finan-
16
cial Protection Commission’’, other than where
17
such term is used to refer to a Director other
18
than the Director of the Bureau of Consumer
19
Financial Protection; and
20
(C) in section 1002, by striking paragraph
21
(10).
22
(2) EXCEPTIONS.—The Consumer Financial
23
Protection Act of 2010 (12 U.S.C. 5481 et seq.) is
24
amended—
25
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•HR 1410 IH
(A) in section 1013(c)(3)—
1
(i) by striking ‘‘Assistant Director of
2
the Bureau for’’ and inserting ‘‘Head of
3
the Office of’’; and
4
(ii) in subparagraph (B), by striking
5
‘‘Assistant Director’’ and inserting ‘‘Head
6
of the Office’’;
7
(B) in section 1013(g)(2)—
8
(i) by striking ‘‘ASSISTANT
DIREC-
9
TOR’’ and inserting ‘‘HEAD OF THE OF-
10
FICE’’; and
11
(ii) by striking ‘‘an assistant director’’
12
and inserting ‘‘a Head of the Office of Fi-
13
nancial Protection for Older Americans’’;
14
(C) in section 1016(a), by striking ‘‘Direc-
15
tor of the Bureau’’ and inserting ‘‘Chair of the
16
Consumer Financial Protection Commission’’;
17
and
18
(D) in section 1066(a), by striking ‘‘Direc-
19
tor of the Bureau is’’ and inserting ‘‘first mem-
20
ber of the Commission is’’.
21
(b) DODD-FRANK WALL STREET REFORM AND CON-
22
SUMER PROTECTION ACT.—The Dodd-Frank Wall Street
23
Reform and Consumer Protection Act (12 U.S.C. 5301
24
et seq.) is amended—
25
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•HR 1410 IH
(1) in section 111(b)(1)(D), by striking ‘‘Direc-
1
tor’’ and inserting ‘‘Chair of the Consumer Finan-
2
cial Protection Commission’’; and
3
(2) in section 1447, by striking ‘‘Director of the
4
Bureau’’ each place such term appears and inserting
5
‘‘Consumer Financial Protection Commission’’.
6
(c) ELECTRONIC FUND TRANSFER ACT.—Section
7
920(a)(4)(C) of the Electronic Fund Transfer Act (15
8
U.S.C. 1693o–2(a)(4)(C)), as added by section 1075(a)(2)
9
of the Consumer Financial Protection Act of 2010, is
10
amended by striking ‘‘Director of the Bureau of Consumer
11
Financial Protection’’ and inserting ‘‘Consumer Financial
12
Protection Commission’’.
13
(d) EXPEDITED FUNDS AVAILABILITY ACT.—The
14
Expedited Funds Availability Act (12 U.S.C. 4001 et
15
seq.), as amended by section 1086 of the Consumer Finan-
16
cial Protection Act of 2010, is amended by striking ‘‘Di-
17
rector of the Bureau’’ each place such term appears and
18
inserting ‘‘Consumer Financial Protection Commission’’.
19
(e) FEDERAL DEPOSIT INSURANCE ACT.—Section 2
20
of the Federal Deposit Insurance Act (12 U.S.C. 1812),
21
as amended by section 336(a) of the Dodd-Frank Wall
22
Street Reform and Consumer Protection Act, is amended
23
by striking ‘‘Director of the Consumer Financial Protec-
24
tion Bureau’’ each place such term appears and inserting
25
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•HR 1410 IH
‘‘Chair of the Consumer Financial Protection Commis-
1
sion’’.
2
(f) FEDERAL FINANCIAL INSTITUTIONS EXAMINA-
3
TION COUNCIL ACT OF 1978.—Section 1004(a)(4) of the
4
Federal Financial Institutions Examination Council Act of
5
1978 (12 U.S.C. 3303(a)(4)), as amended by section 1091
6
of the Consumer Financial Protection Act of 2010, is
7
amended by striking ‘‘Director of the Consumer Financial
8
Protection Bureau’’ and inserting ‘‘Chair of the Consumer
9
Financial Protection Commission’’.
10
(g) FINANCIAL
LITERACY
AND
EDUCATION
IM-
11
PROVEMENT ACT.—Section 513 of the Financial Literacy
12
and Education Improvement Act (20 U.S.C. 9702), as
13
amended by section 1013(d)(5) of the Consumer Financial
14
Protection Act of 2010, is amended by striking ‘‘Director’’
15
each place such term appears and inserting ‘‘Chair of the
16
Consumer Financial Protection Commission’’.
17
(h) HOME MORTGAGE DISCLOSURE ACT OF 1975.—
18
Section 307 of the Home Mortgage Disclosure Act of
19
1975, as amended by section 1094(6) of the Consumer
20
Financial Protection Act of 2010, is amended by striking
21
‘‘Director of the Bureau of Consumer Financial Protec-
22
tion’’ each place such term appears and inserting ‘‘Con-
23
sumer Financial Protection Commission’’.
24
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[Text truncated for display. Full text available on Congress.gov.]